GDS (NASDAQ:GDS) versus ZenaTech (NASDAQ:ZENA) Head-To-Head Analysis

ZenaTech (NASDAQ:ZENA) and GDS (NASDAQ:GDS) are both business services companies, but which is the superior stock? We will compare the two businesses based on the strength of their earnings, risk, valuation, profitability, dividends, analyst recommendations and institutional ownership.

Analyst Recommendations

This is a breakdown of recent recommendations and price targets for ZenaTech and GDS, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
ZenaTech	1	0	1	0	2.00
GDS	0	3	8	1	2.83

ZenaTech presently has a consensus price target of $9.00, suggesting a potential upside of 286.27%. GDS has a consensus price target of $50.29, suggesting a potential upside of 12.88%. Given ZenaTech’s higher probable upside, research analysts clearly believe ZenaTech is more favorable than GDS.

Risk & Volatility

ZenaTech has a beta of 14.28, suggesting that its stock price is 1,328% more volatile than the S&P 500. Comparatively, GDS has a beta of 0.39, suggesting that its stock price is 61% less volatile than the S&P 500.

Profitability

This table compares ZenaTech and GDS’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
ZenaTech	N/A	N/A	N/A
GDS	8.12%	8.72%	2.81%

Insider & Institutional Ownership

33.7% of GDS shares are owned by institutional investors. 8.0% of GDS shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company will outperform the market over the long term.

Valuation & Earnings

This table compares ZenaTech and GDS”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
ZenaTech	$8.40 million	6.24	-$3.27 million	($0.39)	-5.97
GDS	$1.63 billion	5.30	$476.47 million	$3.99	11.17

GDS has higher revenue and earnings than ZenaTech. ZenaTech is trading at a lower price-to-earnings ratio than GDS, indicating that it is currently the more affordable of the two stocks.

Summary

GDS beats ZenaTech on 12 of the 15 factors compared between the two stocks.

About ZenaTech

ZenaTech, Inc., an enterprise software technology company, develops cloud-based software applications in Canada. It provides cryptocurrency wallets and cloud-based enterprise software solutions for the agriculture industry; cloud-based enterprise software solutions for the medical records industry; safety and compliance management software and mobile solutions; field management software and mobile solutions; integrated cloud-based enterprise software and hardware drone technology solutions for various industries; and browser-based enterprise software applications for public safety. ZenaTech, Inc. was formerly known as ZenaDrone, Inc. and changed its name to ZenaTech, Inc. on October 5, 2020. The company was incorporated in 2017 and is based in Toronto, Canada.

About GDS

GDS Holdings Limited, together with its subsidiaries, develops and operates data centers in the People's Republic of China. The company provides colocation services comprising critical facilities space, customer-available power, racks, and cooling; managed hosting services, including business continuity and disaster recovery, network management, data storage, system security, operating system, database, and server middleware services; managed cloud services; and consulting services. It serves cloud service providers, large Internet companies, financial institutions, telecommunications and IT service providers, and large domestic private sector and multinational corporations. GDS Holdings Limited was founded in 2001 and is headquartered in Shanghai, the People's Republic of China.